"Thinking About Job Change Naturally"... Companies Where You Can Raise Kids Without Relying on Others [K Population Strategy]

(51) On-site Corporate Reporting by Our Journalists
"Companies Establish Systems and Environments... Both Work and Childcare Are Possible"
Witnessing Feasible Working Moms and Dads... Low Birthrate Issue, Companies Are Key
CEO's Management Will Is Crucial... Companies Benchmark Best Practices
Government Must Provide Noticeable Support Such as Tax Incentives

Editor's NoteThe key to solving South Korea's population problem lies within companies. A workplace culture that evaluates employees based on their work regardless of gender, along with family-friendly environments, is crucial to addressing the K-population issue. Although low birth rates result from multiple complex factors, it is important to ensure that workplace burdens do not become obstacles that make people hesitate to have children. Asia Economy visited companies leading family-friendly policies to identify the factors that helped these systems take root stably, and plans to explore various solutions with companies facing practical challenges. Through this, we aim to encourage change starting from companies and analyze the government's role in enabling this. We listen closely to voices emphasizing that company culture and atmosphere, which reduce psychological burdens more than financial support, are key, and propose alternatives from diverse perspectives.

"I was almost curious if there was a position for me to transfer to that company."

Over the past two months, reporters from Asia Economy who visited more than 20 companies as part of the year-round project ‘K Population Strategy ? Gender Equality is the Answer’ commonly expressed this sentiment. It did not matter whether they were unmarried male reporters, working mothers, or female reporters; gender, marital status, and parenthood were irrelevant. We witnessed firsthand interviewees happily spending time with their children while proudly explaining their work and workplace. We saw that it is possible to create an environment where working moms and dads can focus on both work and childcare. If companies establish systems and create environments where these can be used, there is hope that people can maintain their careers while living as parents happily in the future.

Working moms and working dads who participated in Asia Economy's year-round project "K Population Strategy - Gender Equality is the Answer" spending happy time with their children.

Why Companies Are Key to the Low Birthrate Issue... The Importance of Work-Family Balance

"Ultimately, to solve the low birthrate problem, companies must change." This was the conclusion reached after seven reporters from our paper gathered in December last year and spent several days brainstorming. We wanted to approach the simple yet complex question of ‘Why are people not having children?’ with a core insight. Although the government has spent hundreds of trillions of won trying to resolve the issue, the low birthrate problem continues to worsen. Various causes such as housing, finances, and education have been identified, and numerous support measures have been introduced, but they have failed to persuade the main group affected?people in their 20s to 40s.

Given the reality of increased female workforce participation and dual-income couples, we concluded that conditions must be created where parents can dream of a life working while spending time with their children. The processes of pregnancy, childbirth, and childcare become an unimaginable future if one thinks they must give up their own life to manage them. Instead of relying on others, an environment where parents can work and raise children themselves is necessary. This is why we focused on flexible work arrangements that allow adjustment of working hours and locations, paternity leave as a foundation for fathers to share childcare burdens that have traditionally fallen on mothers, and successful career return for women experiencing pregnancy and childbirth.

Where Are the ‘Good Companies’... Focusing on Role Models Rather Than Negative Examples

"Only people working at good companies should have children." This comment appeared after the Asia Economy’s year-round project articles were published.

In terms of work-family balance, the reality of domestic companies remains largely insufficient. Among wage workers who can use flexible work arrangements to secure the necessary time and place flexibility for childcare, fewer than 2 out of 10 can do so. Although the number of male paternity leave users is rapidly increasing, it is still difficult to bring up the topic in many workplaces. Some even receive responses telling them to quit after applying for parental leave. In addition to the childcare and household burdens disproportionately placed on women, glass ceilings remain in many places. In this reality, ‘good companies’ introduced in the articles are often seen as exceptions. Many gave up, saying it is difficult for such companies to appear in our daily lives.

However, through this investigation, we realized that ‘good companies’ were not born good but became so after years of ups and downs, eventually establishing a culture. If companies are willing to benchmark these experiences according to their own circumstances, even those that are not currently ‘good companies’ can change. Instead of showing companies that fail to achieve work-family balance as negative examples, we considered how they could change and urged policymakers to promote change. We focused on role models and how their experiences can transform companies and the lives of working parents.

A child at Nami Island Daycare is posing for the camera while playing. Photo by Jo Yongjun jun21@

Employees at the SME Motion adjusted their commuting hours flexibly, which changed their family lives. After seeing senior working moms and dads living sustainable and happy lives with their children, a younger DINK couple decided to have children. From large corporations like Lotte to foreign companies like Lego Korea and Korean Perring Pharmaceuticals, as well as SMEs, fathers returning from parental leave enriched their lives with their children. There was also the case of SME Nami Island, which created a workplace daycare center and coexists with the local community despite various difficulties.

Interviewees at these companies actively shared their experiences. It was a sense of ‘camaraderie’ to raise children healthily together. They unanimously said, "When seniors use these systems, juniors will think, ‘I can use it too if I need to.’ Having good systems and people who use them creates an atmosphere and establishes the culture, which is very meaningful."

"If It’s a Company Like This, I’d Have Children and Keep Working"… The CEO’s Will Changes the World

During the investigation, we realized that the CEO’s will is extremely important in creating work-family balance policies. Although it takes time to create new systems or foster an environment where existing systems can be used, companies whose CEOs take the lead with determination eventually fully internalize these systems. CEOs who invest with willpower realize that helping employees balance work and family not only helps secure talent but also increases productivity and, further, leads to improved business performance.

Efforts by companies to promote work-family balance will be a starting point for solving the low birthrate problem. The SME Gounsesang Cosmetic recorded a total fertility rate of 2.70 in 2022, a result of actively utilizing family-friendly systems over the past decade. The words of an interviewee, "I thought I could have children and keep working at a company like this," support this achievement. Over a considerable period, the CEO’s will combined with employees’ efforts built trust within the company and led to increased birth rates.

However, relying solely on the CEO’s will is not enough. For companies focused on immediate survival, investing in employees’ work-family balance is inevitably a burden. Companies express difficulties in resolving manpower and cost issues. Institutional support from the government and the National Assembly is essential. Companies actively adopting and utilizing family-friendly systems should receive noticeable benefits such as tax reductions. Support for securing practically usable substitute personnel is necessary to help companies with strong will but practical concerns. Systems should not be created with a short-sighted view aiming for quick results. Realistic and practical support measures should be implemented, utilizing existing systems like flexible work and male parental leave, to initiate a virtuous cycle that changes corporate culture.

We hope our investigation can be a small clue for change. We look forward to the day when ‘good companies’ with well-established family-friendly systems, which made us ‘almost want to transfer while reporting,’ are no longer exceptional stories but common ones.

Special Reporting Team ‘K Population Strategy ? Gender Equality is the Answer’

Yuri Kim, Hyunju Lee, Hyunjin Jung, Aeri Boo, Byungseon Gong, Juni Park, Seungseop Song Reporters
Pilsu Kim, Economic and Financial Editor